Fashion Retail: Clocking the Highest Sales Growth in Malls
It won’t be wrong to say fashion is more social these days. Social media platforms like Pinterest, Instagram Facebook and Twitter have changed the entire concept of fashion and shopping.
Pinterest, Instagram, Facebook and Twitter have changed the entire concept of fashion and shopping. Shopping Mall Developers and Heads across India talk about how important fashion retail is to the mall.
Retail in India is an incredible assortment of formats. Over the last decade, the concept of shopping has undergone a sea change in terms of format and consumer-buying behaviour. Along with the increase in disposable income, brand consciousness, development and modernisation of infrastructure has also played a major role in deͤning the changing dynamics of retail spaces – especially in the fashion category.
While the shopping mall may have become a complete family entertainment centre – complete with food, fun zones and cinemas – and successful malls in India have everything that a family needs for an enjoyable day out, it is the fashion and accessories sections in malls that always get the maximum attention.
Fashion has glamour and elegance. It catches attention and attraction. It won’t be wrong to say fashion is more social these days. Social media platforms like Pinterest, Instagram, Facebook and Twitter have changed the entire concept of fashion and shopping.
On an average, 60 percent of a mall’s revenue is generated by its fashion stores. Currently, the fashion category occupies approximately 60 percent of mall space in India – a number that may go up as per a mall’s target audience, but never down.
Fashion Retail: The Epicenter of the Mall
Consumers of all age groups spend the maximum amount of time circling international and national clothing and accessory brands. The Millennial consumer – with his high-income level, even higher spending capacity and his shop-anytime-you-wish attitude – wants the best of fashion.
Studies show that even when consumers don’t purchase a product, the maximum time consumers spend window shopping is on the floor that houses the fashion stores. They check out new designs, trends, style and colours in order to look elegant, look smarter, up-to-date and attractive.
The past few years have seen the emergence of national-level women ethnic and fusion wear brands that are aggressively expanding across the country. Western wear brands, including fast fashion and casual wear, are also expanding rapidly due to increasing demand by consumers.
What malls do to highlight the Fashion Section
Smart mall developers study their target audience, see the categories that are growing in their catchment area and then pick and choose the perfect brand mix for their fashion and accessories section – an exercise which is extremely important since malls depend heavily on the revenue and footfalls that fashion brings to them. Since fashion retail is all about the customers’ preferences, space allotment to brands –value formats, lifestyle, and luxury formats – needs to be in sync with the type of people visiting a mall.
The commonest trend is to allow ground floor to the international and domestic luxury and bridge-to-luxury brands. The reason behind this is that the ground floor has the highest rentals and highest footfalls. For malls that don’t target an elite audience, international and
homegrown fast fashion brands work beautifully too. Another common trend is to exclusively allot the ͤrst floor to women’s wear brands, and the second and third floors to menswear and kids wear brands respectively. One reason for this is that despite menswear holding a major share of the apparel market at 41 percent, it’s the women’s wear segment which is growing the fastest as witnessed by the footfalls and purchase patterns.
Another reason, say mall developers that effectively, it is almost impossible to understand what the customer is exactly looking for. The likeness for design and trend can change any moment.
Fashion consumers, say mall developers, can be broadly divided into two categories – focused buyers and impulse buyers. Focused buyers are those who know exactly what they want, which store houses the product and come to the mall with the purpose and intent of buying that piece of clothing. Impulse buyers on the other hand are those who visit a mall just on a whim and then end up buying clothes that appeal to them on the spot. Both types of customers are important for retail stores and malls and to satisfy them both, mall developers ensure retailers update their designs and categories almost every month. IN CONCLUSION: As per a JLL report, fashion retailers will continue to command a prominent presence in Indian shopping malls. It is expected that more fashion brands will open ‘experience stores’ and newer formats and strengthen their footprint across the country.
With the fashion retail sector in the midst of a reinvention powered by technology, one thing is for sure and that is that the only limitation today’s retailers face is their own creativity. The good news for customers is that there has never been a better time to be a shopper.